Buying A Small House Advice

[toenail]

I have spent 7 years of paying rent in various condos in Pattaya (work here). I have decided to buy a small 2 bedroom house in a housing complex, price range up to 3,000,000 baht. Any suggestions , warnings when chosing a place. (Yes, I know the cons about not owning the house but one gets more space for the baht and a yard.)

thanks for any advice

[banglay]

Where possible buy a house that is already in a company name and resist all pressures that might come from Khun Thai Wife/girlfriend/boyfriend to put it in there names under the pre text it is easier...(yes easier for them) .....that way if the sh*t hits the fan you are still in the driving seat nothing worst than been kicked out of a house that you have paid for simply because you are a Farang and you have come to the end of YOUR usefulness.

Oh and stake out the house at different time of the day/night over a month or even longer so you can get a better idea of all the comings and going noise levels ect in the area.

Buying is the way to go if you are here long term.....Enjoy your new home.

[Michaelaway]

Where possible buy a house that is already in a company name and resist all pressures that might come from Khun Thai Wife/girlfriend/boyfriend to put it in there names under the pre text it is easier...(yes easier for them) .....that way if the sh*t hits the fan you are still in the driving seat nothing worst than been kicked out of a house that you have paid for simply because you are a Farang and you have come to the end of YOUR usefulness.

Oh and stake out the house at different time of the day/night over a month or even longer so you can get a better idea of all the comings and going noise levels ect in the area.

Buying is the way to go if you are here long term.....Enjoy your new home.

Please explain what happens after a farang buys a Thai company so he can own a house; ie: taxes and any other expenses post-purchase. Also, what do you see as the potential risk in doing this? Thanks a lot.

[banglay]

Where possible buy a house that is already in a company name and resist all pressures that might come from Khun Thai Wife/girlfriend/boyfriend to put it in there names under the pre text it is easier...(yes easier for them) .....that way if the sh*t hits the fan you are still in the driving seat nothing worst than been kicked out of a house that you have paid for simply because you are a Farang and you have come to the end of YOUR usefulness.

Oh and stake out the house at different time of the day/night over a month or even longer so you can get a better idea of all the comings and going noise levels ect in the area.

Buying is the way to go if you are here long term.....Enjoy your new home.

Please explain what happens after a farang buys a Thai company so he can own a house; ie: taxes and any other expenses post-purchase. Also, what do you see as the potential risk in doing this? Thanks a lot.

It cost me around ฿16.000 per year to get my taxes and books done by a reputable Thai accounting firm (nothing else to pay after that ) .Do all the paper work properly and it is potentially risk free...there are literally 1000's faranges who own there homes this way .. ..they ALL can't be wrong ..but you'll always get the renting Brigade saying the opposite .

At the end of the day there's nothing in this world that is without risk ....

I am here long term so buying was the logical choice for me...not for every one but for me .

[RabC]

From experience my advice would be not to buy brand new but look for somewhere about 2 years old, by that time most of the niggles caused by the poor build quality over here will have become evident. Cracked plaster, tiles laid incorrectly leaking roof etc......

Edited November 20, 2011 by RabC

[MJCM]

Where possible buy a house that is already in a company name ............

And what about if the government starts to crack down on these kind of Company's ? (Company's that only exist to buy a House)

You maybe forced to sell at a loss or worse .....

Edited November 20, 2011 by MJCM

[LennyW]

No risk in buying a house in an existing company name, just get get you lawyer to do due dilligance and ensure there are no encumbances on the existing company.

Yes there will be annual taxes to pay, but nothing horrendous!

Things to check for in your intended "housing complex"......

TV Availabillity............Cable /Satelite/independant?

Phone..........as above

Internet........as above

Water...........Municipal or private by meter

Electric........Municipal or private by meter

Drainage.........Adequate

Monthly fees? Some charge outrageous fees for a small service, some dont! Is the complex pretty much full of people actually living there? or absent landlords who dont give a shit about monthly expenses??? this will determine the overall long term sustainabillity of the project.

Management / Security, is the developer providing management / security of the complex? Is it OK? and if they are, are they going to sell it on to someone else once they have filled all the plots?

You obviously have several years experience here in Pattaya so you wont be swayed by the usual "Naesayers" (i am sure they will be along in a minute!), just do it right, cha cha!

If you dont mind me asking, do you have a particular house / development in mind? feel free to respond by PM if you want.

At the end of the day it is YOUR decision!

Take care!

[banglay]

Where possible buy a house that is already in a company name ............

And what about if the government starts to crack down on these kind of Company's ? (Company's that only exist to buy a House)

You maybe forced to sell at a loss or worse .....

Are you talking by experience???? ...where do you get your information from? and or do you happen to be one of the renting brigade I mentioned ????? do you actually live in Thailand ? or are you just one of the many doom and gloom brigade who frequent TV ?

[MJCM]

Where possible buy a house that is already in a company name ............

And what about if the government starts to crack down on these kind of Company's ? (Company's that only exist to buy a House)

You maybe forced to sell at a loss or worse .....

Are you talking by experience???? ...where do you get your information from? and or do you happen to be one of the renting brigade I mentioned ????? do you actually live in Thailand ? or are you just one of the many doom and gloom brigade who frequent TV ?

I live here and own a Condo and 2 Houses (in my wife's name) and I said "What if"

Edit: //

Edited November 20, 2011 by MJCM

[banglay]

Where possible buy a house that is already in a company name ............

And what about if the government starts to crack down on these kind of Company's ? (Company's that only exist to buy a House)

You maybe forced to sell at a loss or worse .....

Are you talking by experience???? ...where do you get your information from? and or do you happen to be one of the renting brigade I mentioned ????? do you actually live in Thailand ? or are you just one of the many doom and gloom brigade who frequent TV ?

I live here and own a Condo and 2 Houses (in my wife's name) and I said "What if"

You actually said I quote "what about" NOT "What if " there's a big difference.

[MJCM]

Can someone please explain the difference between: "What if" and "What about if" ?

:jap:

Edited November 20, 2011 by MJCM

[banglay]

Can someone please explain the difference between: "What if" and "What about if" ?

:jap:

Let's forget the pissing competition and get back on track and help this guy with his request

[MJCM]

Can someone please explain the difference between: "What if" and "What about if" ?

:jap:

Let's forget the pissing competition and get back on track and help this guy with his request

Agreed

LennyW's post is a very good start in pointing the OP

Edited November 20, 2011 by MJCM

[Rimmer]

The OP is looking for help and suggestions about Buying A Small House in a development anything else is off topic and will be removed.

The rights and wrongs of company owned houses are not up for discussion here this has been done to death in the real estate and land ownership forum.

[toenail]

Yes, I have looked at a couple new/ unoccupied homes in developments...the show model looks nice with the landscaping and finished interior but what scares me is looking at the uncompleted home wondering if the company will really follow through with the finishing touches. Meanwhile, I have seen used homes in developments on the internet - (I am guessing 3-4 years old) - that are at the same price; yet, have everything finished, good kitchens, landscaping, and AC's. It looks like buying a used home is the answer.

[janverbeem]

Where possible buy a house that is already in a company name ............

And what about if the government starts to crack down on these kind of Company's ? (Company's that only exist to buy a House)

You maybe forced to sell at a loss or worse .....

Are you talking by experience???? ...where do you get your information from? and or do you happen to be one of the renting brigade I mentioned ????? do you actually live in Thailand ? or are you just one of the many doom and gloom brigade who frequent TV ?

Well,for a start there have been several news reports in the passed few years where one or another government official,even ministers, announced the start of a crack down on companies for the sole purpose of owning a house.Yet it hasn't happened but where smoke is, there is fire.

There has also been a period,about 3-4 years ago if I remember correctly,where it wasn't possible to register a new house in company name.Later they relaxed the rules.

Do a search on this forum as all above mentioned events were discussed on TV.

Edited November 20, 2011 by janverbeem

[CGW]

Im not going to mention "don't buy a house in......." brings them out in their droves everytime, I was told the same thing 21 years ago when I bought my first.

What I would say is buy used, when you buy new you have no idea what will end up beside you!!!!

least with pre built and lived in house you can check it out, I would be looking at houses for about 4 million and expecting a hefty discount.

Good Luck

[seefah]

Just off the top of my head, if buying a used home, perhaps consider the following;

Take a ladder and flash light so you can look in the attic, preferably daytime so the light can shine through any cracks or joints in the roof tiles. In particular look at where one angled roof meets another angled roof, as these joins tend to be where tiles were not properly installed or break apart first over time. As a result could let in rain. I suppose a similar test could be done if heavy rain.

Although probably not so much of an issue, another thing to look for while up in the attic is burnt debris that the wind may have blown into the attic from a nearby fire. Its not uncommon for various places to burn a load of rubbish every quarter or even every month. Really more of an issue for drying laundry outside.

As already said, go at various times of the day and night.

If there are businesses or home businesses nearby, for example a small restaurant on the ground floor of a nearby house, visit at lunchtime to see if cars park in front of the driveways of other houses and block access. Not so much of an issue if just there for food then gone again.

Also go late evening and close to midnight, so you can listen for loud music from nearby bars or karaoke.

If tiled floors in the upstairs bathrooms, soak the floors with a large amount of water when you first enter the house (couple of big buckets worth). Whilst you check the other parts of the house, any water that can leak through gaps or cracks in the bathroom floor could appear on the ceiling downstairs, which of course you'd check before leaving.

Whilst checking the house over, do you keep hearing the water pump switching on for a few seconds every few minutes or so. If yes, then possibly a leak somewhere. This would more likely be a leaking toilet cistern or toilet bum spray than a broken pipe. Either way, you shouldn't be hearing the water pump going on and off all the time and it will have to be fixed or the water pump will get quite hot.

Are all the electrical sockets earthed. I think only within the last couple of years did it become a legal requirement to have earth/ground throughout new houses. I'm sure others will correct me if I'm wrong on that point. That said, some older houses are earthed too. Anyway, to test I have a power strip that has an earth/ground indicator light on it, lights up if earthed, faint if not good earth, and not at all if no earth.

Popping off the covers to the light switches in a room could also tell you how well the electrics are installed. Most probably the wires are twisted together and taped up, that is so common. Obviously be wary doing this in case of shock.

Do the windows still correctly fit inside the window frames and can fully open and close with no problems, or are there uneven gaps.

Does the house owner have service records for repairs and servicing. For example the air conditioning, water tank cleaning, etc.

Does the area or access to the housing village get flooded during heavy rain.

Hope something there helps you spot potential issues. I'd say buying a property that was built by one of the known names in Pattaya, like LK, RatanaKorn, and some others is probably safer as they are established for a fairly long time and still develop properties. Not sure if there is a list of good and not so good developers on the forums here or not.

Good luck with your purchase.

[Jimmyd]

Thanks for the post seefah--I appreciate you taking the time to share your expertise.

[Hooters]

It doesnt matter who lives beside you now.... . I have had several neighbors in the last 5 years , some quite but the current couple are quite intent on trying to kill each other judging by the nocturnal screaming.

Edited November 21, 2011 by Hooters

[seefah]

<br />It doesnt matter who lives beside you now.... . I have had several neighbors in the last 5 years , some quite but the current couple are quite intent on trying to kill each other judging by the nocturnal screaming.<br />

Sometimes true, other times not, but mostly are okay.

As for other nearby house occupants arguing with each other, don't we all occasionally. Unfortunately it sounds like Hooters there has more than his fair share or screaming neighbours. A buyer can only best judge as much as he can. What I'd do is just stop past the house you intend to buy late evening around 10 or 11pm on a Friday and Saturday. Drunk people are probably more likely to argue / loudly. If you were really interested in buying a particular house, I'd say hello to the neighbours (daytime) and just say you're thinking of buying the house next door and just have a chat for a few minutes, giving them some reassurance that you yourself are not an idiot or noisy person, and how is the neighbourhood in that respects. Taking the Thai girlfriend along might help with communications, but don't let her dress up too much like a madame, just be down to earth normal types.

I suppose this next bit relates to both house seller as well as neighbours, particularly adjoining house neighbours.

I still believe that a foreigner that first moves into a house will have already seen what needs to be updated or fixed and just spend the money on getting it done correctly at the beginning so that they can live peacefully. The foreigner will more likely keep an eye on what the engineer is doing and won't matter so much about paying as these issues should have been used to reduce the price of the purchase anyway.

Of course this can't be said for all, but Thais will generally spend as little as possible and fix things in the cheapest way possible using the cheapest engineer they can find to keep things just acceptable to them, but not necessarily correctly fixed.

I think it is pretty well known that more often than not Thais will just cover up things whereas foreigner owners will actually fix things. Again, not 100% true, but as a general rule.

I'm sure at this point there will be some who are thinking I'm just speaking bad of Thais and foreigners could equally do the same, I'm honestly not, I'm just speaking fact.

Another thing, is there unoccupied business buildings in the area. When unoccupied and not locked up, you'll get the occasional evening visitor who will bang away and strip the building of its fixtures and fittings, even windows and frames, and when new people move in it will be noisy construction for a period as they redesign the place. Dogs also tend to hang around construction sites as workers tend to just drop food and litter where they want. Possibly a moot point for long term, but still a valid point.

Edited November 21, 2011 by seefah

[CGW]

Excellent posts Seefah, many posters could learn a lot from you (I include myself) knowlegable, factual & to the point - Thanks

[RabC]

<br />It doesnt matter who lives beside you now.... . I have had several neighbors in the last 5 years , some quite but the current couple are quite intent on trying to kill each other judging by the nocturnal screaming.<br />

Sometimes true, other times not, but mostly are okay.

As for other nearby house occupants arguing with each other, don't we all occasionally. Unfortunately it sounds like Hooters there has more than his fair share or screaming neighbours. A buyer can only best judge as much as he can. What I'd do is just stop past the house you intend to buy late evening around 10 or 11pm on a Friday and Saturday. Drunk people are probably more likely to argue / loudly. If you were really interested in buying a particular house, I'd say hello to the neighbours (daytime) and just say you're thinking of buying the house next door and just have a chat for a few minutes, giving them some reassurance that you yourself are not an idiot or noisy person, and how is the neighbourhood in that respects. Taking the Thai girlfriend along might help with communications, but don't let her dress up too much like a madame, just be down to earth normal types.

I suppose this next bit relates to both house seller as well as neighbours, particularly adjoining house neighbours.

I still believe that a foreigner that first moves into a house will have already seen what needs to be updated or fixed and just spend the money on getting it done correctly at the beginning so that they can live peacefully. The foreigner will more likely keep an eye on what the engineer is doing and won't matter so much about paying as these issues should have been used to reduce the price of the purchase anyway.

Of course this can't be said for all, but Thais will generally spend as little as possible and fix things in the cheapest way possible using the cheapest engineer they can find to keep things just acceptable to them, but not necessarily correctly fixed.

I think it is pretty well known that more often than not Thais will just cover up things whereas foreigner owners will actually fix things. Again, not 100% true, but as a general rule.

I'm sure at this point there will be some who are thinking I'm just speaking bad of Thais and foreigners could equally do the same, I'm honestly not, I'm just speaking fact.

Another thing, is there unoccupied business buildings in the area. When unoccupied and not locked up, you'll get the occasional evening visitor who will bang away and strip the building of its fixtures and fittings, even windows and frames, and when new people move in it will be noisy construction for a period as they redesign the place. Dogs also tend to hang around construction sites as workers tend to just drop food and litter where they want. Possibly a moot point for long term, but still a valid point.

Excellent Post. I did a lot of the stuff you advised but the one thing you can NEVER account for is that when the Farang husband across the road leaves his little wife, she will buy 5 yapping mutts that live outside and will yap at even a leaf dropping. I used to be a dog lover, but thankfully for the mutts across the road I am not allowed a gun licence

[seefah]

Excellent Post. I did a lot of the stuff you advised but the one thing you can NEVER account for is that when the Farang husband across the road leaves his little wife, she will buy 5 yapping mutts that live outside and will yap at even a leaf dropping. I used to be a dog lover, but thankfully for the mutts across the road I am not allowed a gun licence

True, can't spot that.

Maybe get yourself one of those hand held ultrasonic dog trainer/repellent sounders and aim it over at the dogs every time they bark, so as to encourage them to stop barking.

[Guderian]

Excellent Post. I did a lot of the stuff you advised but the one thing you can NEVER account for is that when the Farang husband across the road leaves his little wife, she will buy 5 yapping mutts that live outside and will yap at even a leaf dropping. I used to be a dog lover, but thankfully for the mutts across the road I am not allowed a gun licence

True, can't spot that.

Maybe get yourself one of those hand held ultrasonic dog trainer/repellent sounders and aim it over at the dogs every time they bark, so as to encourage them to stop barking.

Or buy yourself a big dog that likes to snack on annoying little yappy mutts?

[toenail]

Another question... What percent does the real estate agent come down on a price???? Some houses I have seen listed have been on various websites for a year? I am thinking everyone is asking for more than what it is worth...